[Federal Register Volume 70, Number 185 (Monday, September 26, 2005)]
[Notices]
[Page 56207]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-19094]


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DEPARTMENT OF TRANSPORTATION

Federal Railroad Administration


Notice Publishing Substantive Criteria for Evaluation of 
Applications under the Railroad Rehabilitation and Improvement 
Financing Program (RRIF)

AGENCY: Federal Railroad Administration (FRA), Department of 
Transportation (DOT).

ACTION: Notice of Evaluation Criteria for RRIF Program.

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SUMMARY: FRA is publishing this notice in response to Congressional 
direction contained in section 9003(j) of the recently enacted Safe, 
Accountable, Flexible, Efficient Transportation Equity Act: A Legacy 
for Users (SAFETEA-LU) requesting the agency to identify the 
substantive criteria and standards used by the DOT/FRA to determine 
whether to approve or disapprove applications submitted under the RRIF 
Program. This information is being provided by publication in the 
Federal Register and posting on the DOT/FRA website, as required by the 
statute.

FOR FURTHER INFORMATION CONTACT: Joseph Pomponio, Director, Office of 
Freight Programs, Federal Railroad Administration, U.S. Department of 
Transportation, 1120 Vermont Avenue, NW., Washington, DC 20590. 
Telephone: 202-493-6051, e-mail: [email protected]. Cynthia 
Walters, Attorney, Office of Chief Counsel, Federal Railroad 
Administration, U.S. Department of Transportation, 1120 Vermont Avenue, 
NW., Washington, DC 20590. Telelphone 202-493-6064, e-mail: 
[email protected].

SUPPLEMENTARY INFORMATION:

Background

    Congress recently amended sections 502 and 503 of the Railroad 
Revitalization and Regulatory Reform Act of 1976 (45 U.S.C. 821 et 
seq.), in SAFETEA-LU (Pub. L. 109-59). These amendments address DOT's 
RRIF program, which authorizes the Secretary of Transportation 
(Secretary) to disburse money through direct loans and loan guarantees 
to various entities. RRIF loans and loan guarantees are used to 
acquire, improve or rehabilitate intermodal or rail equipment and 
facilities, refinance debt that was undertaken for such purposes, or to 
develop or establish new rail or intermodal facilities. The SAFETEA-LU 
amendments expand the total available program obligations from $3.5 
billion to $35 billion and make several other program changes. The 
Secretary's authority to administer this program has been delegated to 
the Administrator of FRA (49 CFR sections 1.49(t) and 260.1, Program 
Authority).
    In addition to the RRIF program changes, SAFETEA-LU requires the 
Department, within thirty days after enactment of the statute, to 
publish in the Federal Register and post on the Department's Web site 
the substantive criteria and standards used by the Secretary to 
determine whether applications will be approved or disapproved for RRIF 
loans. The substantive criteria responsive to the request of Congress 
are the subject of this notice and are described below.

FRA's Substantive Criteria for Evaluation of RRIF Applications

    FRA is providing the criteria and standards used to determine 
whether to approve or disapprove an application submitted under section 
502 of the Railroad Revitalization and Regulatory Reform Act of 1976. 
These criteria are drawn from the legislation authorizing the RRIF 
program (45 U.S.C. 821 et seq.) and program implementing regulations 
(49 CFR part 260). The words used below to describe the criteria differ 
from the statute and the regulations only for purposes of brevity. This 
notice does not contain any new criteria or impose any new legal 
requirements or have any legal effect other than to satisfy the mandate 
from Congress to issue this notice. Determinations are made based on 
the following criteria and standards, as more fully set forth in the 
statute or the regulations, evaluated individually and considered 
collectively.
     The statutory eligibility of the applicant and the project 
( 49 CFR 260.3, definition of applicant and 49 CFR 260.5, eligible 
purposes);
     The creditworthiness of the project, including the present 
and probable demand for rail services and a reasonable likelihood that 
the loan will be repaid on a timely basis. (49 CFR part 260, Subpart B-
FRA policies and procedures for Evaluating Applications for Financial 
Assistance)
     The extent to which the project will enhance safety. (49 
CFR 260.7(a))
     The significance of the project on a local, regional, or 
national level in terms of generating economic benefits and improving 
the railroad transportation system. (49 CFR 260.7(c))
     The improvement to the environment that is expected to 
result directly or indirectly by the implementation of the project. (49 
CFR 260.7(b)) and
     The improvement in service or capacity in the railroad 
transportation system or the reduction in service-or capacity-related 
problems that is expected to result directly or indirectly from the 
implementation of the project (45 U.S.C. 822(c))

    Issued in Washington, DC on September 19, 2005.
Joseph H. Boardman,
Federal Railroad Administrator.
[FR Doc. 05-19094 Filed 9-23-05; 8:45 am]
BILLING CODE 4910-06-P